Hanoi (VNA) – Vietnam’s domestic market and internal trade are playing an increasingly crucial role in driving economic restructuring, boosting the proportion of industry and services, and elevating the value and global recognition of Vietnamese brands.
According to experts, alongside exports and investment, the domestic trade is contributing significantly to the country’s push toward achieving the GDP growth of at least 8% this year.
In the first two months of this year, total retail sales of goods and consumer service revenue were estimated at nearly 1.14 quadrillion VND (about 43.8 billion USD), up 9.4% year-on-year. Retail sales of goods alone accounted for 878.4 trillion VND, representing 77.2% of the total and rising 8.7% compared to the same period last year.
Such results have encouraged major retail corporations to ramp up investments and expand distribution networks to further fuel domestic market growth throughout 2025.
Nguyen Anh Duc, General Director of Saigon Co.op, highlighted the close link between GDP growth and the retail sector.
To effectively stimulate domestic demand, he emphasised the need for long-term support for both producers and distributors. Duc also stressed the importance of cross-sector collaboration, citing tourism and trade as key areas that can work together to boost domestic trade.
In Hanoi, the city’s Department of Industry and Trade is working toward building a dynamic, efficient, and sustainable service sector. Its Deputy Director Nguyen Kieu Oanh noted ongoing efforts to remove business barriers, fast-track projects for commercial centres and supermarkets, and support retailers in expanding their distribution networks.
The capital city is also prioritising the development of e-commerce, accelerating logistics infrastructure projects, and proposing legal frameworks to support the growth of modern retail and service formats such as outlets and vending machines, the official said.
Optimising supply chains
To reach the government’s target of 12% growth in retail and consumer service revenue this year, e-commerce will play a pivotal role, said Duc. Vietnam’s e-commerce market exceeded 25 billion USD in 2024, up 20% year-on-year, accounting for 9% of total retail sales of goods.
Maintaining the 20% annual growth rate in e-commerce over the next five years is essential to reach double-digit GDP growth, he noted.
Economist Vu Vinh Phu stressed that boosting consumption requires concerted policies, covering demand stimulus, tourism promotion, and, most importantly, and people’s incomes through other growth engines like investment and export.
He urged the government to implement detailed and targeted financial support, including vocational training and reskilling programmes for laid-off workers. He also called for better access to capital and entrepreneurship opportunities to help displaced workers rebuild their livelihoods, supported by an improved business environment.
To meet its growth targets, the Ministry of Industry and Trade has introduced a range of key measures focused on stimulating demand and stabilising supply chains. These include support for producers and distributors of essential goods, investment in AI-powered logistics systems, development of modern warehousing, and early warning mechanisms for supply-demand imbalances and price volatility.
The ministry is also advancing digital transformation and expanding e-commerce, particularly among small and medium-sized enterprises (SMEs), while promoting multi-channel retail models. Commercial centres, supermarkets, and convenience stores are expected to play a growing role in meeting modern consumer needs and ensuring a diverse and high-quality supply of goods.
Tran Thi Phuong Lan, Vice Chairwoman of the Association of Vietnam Retailers, echoed these priorities, stressing the importance of digital transformation and tightly integrated supply chains. She also emphasised the need to adopt multi-channel retail models and leverage tourism-linked shopping experiences to strengthen consumer confidence and stimulate spending./.
